September 8 2005, 09:35 APK-Inform

Rates of grain purchases by "Khlib Ukrainy" lagging far behind assignment

Rates of the grain purchases, operated by government-run joint stocks company "Khlib Ukrainy" (Bread of Ukraine), are so far remaining very low, a spokesman for Agrarian Policy Ministry has said to APK-Inform.

Thus, as of September 6 the company made contracts and paid for just 162,800 tonnes of grain, which is 8.1 percent of the government's task.

Cabinet of Ministers had commissioned Khlib Ukrainy to buy 2 million tonnes of the 2005 crop grain. The company was to make purchases at prices not less than 10 percent above the minimal ones, set by government. That meant that it was buying the 4th class milling wheat at 486 hryvnias per tonne, feed wheat - at 441 hryvnias per tonne and 3rd class barley - at 620 hryvnias per tonne (5.05 hryvnias = $1).

But on September 2 Khlib Ukrainy released a statement that from this time on it would be buying grains at actual market prices.